Res 1413 - Cont Huggins Ins Ser
COUNCIL BILL NO. 1798
RESOLUTION NO. 1413
A RESOLUTION ENTERING INTO A CONTRACTUAL SERVICES AGREEMENT AND
DESIGNATING HUGGINS INSURANCE SERVICES, INC. AS THE CITY'S
INSURANCE AGENT OF RECORD.
WHEREAS, the City is required to appoint an Insurance
Agent of Record every three years, and
WHEREAS, proposals were requested from interested firms
who are capable of providing this service, and
WHEREAS, following an evaluation of the proposals and
interviews with selected agents, it has been determined that
Huggins Insurance Services, Inc. would provide the City with an
acceptable level of service, now, therefore,
THE CITY OF WOODBURN RESOLVES AS FOLLOWS:
Section 1. That the City of Woodburn enter into an
agreement with Huggins Insurance Services, Inc. retaining that firm
as the City's Insurance Agent of Record.
Section 2. That the terms and conditions of said
agreement are hereby adopted. The entire agreement being appended
to this resolution and, by reference, incorporated therein.
Section 3. That the Mayor is authorized to execute and
the City Administrator, or his designee, to administer said
agreement on behalf of the City.
APPROVED AS TO FORM~(f1-~ ,- 5"- -, 1-
City Attorney
Date
APPROVED
~ /b~~/'
NANJ KIRKSEY, fYOR
June 9, 1997
Passed by the Council
Submitted to the Mayor
June 10, 1997
Filed in the Office of the Recorder
June 10, 1997
June 10, 1997
Approved by the Mayor
ATTEST
~~
Ma ~nnant, Recorder
City of Woodburn, Oregon
Page 1 - COUNCIL BILL NO. 1798
RESOLUTION NO. 1413
'"-"T
CONTRACTUAL SERVICES AGREEMENT
THIS AGREEMENT, entered into this Y t= day of ~
1997, by and between the City of Woodburn, hereinafter referred to
as 11 Client ", and Huggins Insurance Services, Inc., hereinafter
referred to as 11 Agent 11 .
WITNESSETH
WHEREAS, the Client intends to engage and does hereby engage
Agent to serve as Client's Insurance Agent of Record.
NOW THEREFORE, for the consideration hereinafter set forth, it
is agreed by and between the parties as follows:
--L..
The Agent shall provide professional services to the Client as
follows:
(A) Supervise the placement and service of all Client's bonds
and insurance, with the exception of Employee benefits,
including but not limited to, services as outlined in
Agent's Proposal to Client, dated May 23, 1997.
(B) Work to be performed by Agent of Record includes services
generally performed by Agent of Record in their usual
line of business.
(C) The parties of this agreement intend that the relation
between them is that of employer independent
contractor. No agent, employee, or servant of Agent of
Record shall be or shall be deemed to be the employee,
agent or servant of the Client.
(D) Agent of Record shall defend, indemnify and hold harmless
Client and its agents or assigns from and against all
liability or loss and against all claims or actions based
upon or arising out of damage or injury to persons or
property caused by or sustained in connection with their
performance of this contract by Agent of Record.
(E) Agent of Record shall maintain in effect a comprehensive
general liability (including professional liability)
policy with an Errors and Omissions policy with a minimum
limit of $1,000,000 per occurrence. Said policy shall
include a 30-day notice of cancellation clause to the
Client. A certificate of insurance evidencing all
insurance required by this agreement shall be delivered
to the Client prior to commencement of any services.
Page 1 - Huggins Insurance Services, Inc.
Contractual Services Agreement
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(F) Agent of Record shall provide evidence of workers'
compensation insurance, or by signing this agreement,
represents that Agent is a sole proprietor and therefore
exempt from the laws requiring workers' compensation
coverage. Agent of Record shall also defend, indemnify
and hold harmless Client against all liability and loss
in connection with and shall assume full responsibility
for, payment of federal, state, and local taxes or
contributions imposed, or required under unemployment
insurance, social security, and income tax laws, with
respect to Agent of Record's employees engaged in the
performance of this agreement.
(G) In the event any payment made pursuant to this agreement
is to be charged against federal funds, Agent of Record
certifies that the agency is not currently employed by
the federal government and the amount charged does not
exceed the normal charge for the type of services
provided.
II.
The
(A)
Client agrees:
To assist Agent
available written
or service.
by placing at his or her disposal
data pertinent to the proposed project
(B) To guarantee access to the Client's property and records
as required by the Agent to perform his or her services
under this agreement.
(C) To give prompt notice to Agent whenever the Client
observes or otherwise becomes aware of any deficiency in
the proposed project or services.
III.
The Agent and Client agree:
(A) In the event a suit or action is instituted by either
party to procure any remedy for breach hereof, it is
understood and agreed by the parties hereto that the
prevailing party shall be awarded such sum as the court
may adjudge as reasonable attorney's fees in such suit or
action, including fees on appeal.
(B) The additional provisions as set forth in "Exhibit A" as
attached hereto are made a part of this agreement.
(C) Either party may cancel this agreement by giving ninety
(90) days written notice.
(D) This agreement will expire on June 30, 2000.
Page 2 - Huggins Insurance Services, Inc.
Contractual Services Agreement
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IV.
The Client agrees to compensate the Agent in the following manner:
As consideration for services, Client agrees to pay an
annual fee of $7,000.00 by August 15th of each year for
brokerage services provided by this agreement. Agent agrees,
subject to all relevant market conditions, to use its best
efforts to obtain insurance coverage for Client on the basis
of a net premium without commissions payable to Huggins
Insurance Services, Inc.. In the event Huggins Insurance
Services, Inc. is required, by agreements with insurers or
otherwise, to receive commissions on any such coverage
obtained, Huggins Insurance Services, Inc. agrees, if and to
the extent permitted by the law applicable to such insurance
transactions, to credit all such commissions received against,
and as a credit to the fees described above.
IN WITNESS WHEREOF, the parties hereto have made and executed
this agreement the day and year first above written, with July 1,
1997 as the effective date of this agreement.
AGENT:
Huggins Insurance Services, Inc.
CLIENT:
City of Woodburn
m~m~
Mary anes
Account Executive
~~-~~
Nancy A. irksey /
Mayor
jp ~ i .- 97
Date
ft;-/().-91
Date
Page 3 - Huggins Insurance Services, Inc.
Contractual Services Agreement
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"EXHmIT A"
CITY OF WOODBURN
INSURANCE AGENT OF RECORD
Agent of Record will:
1. Obtain and currently maintain an insurance program t~at will assure
both maximum risk coverage and cost effectiveness to the City, and
recommend insurance coverages for unique risks that may arise.
2. Maintain insurable values on buildings and insured equipment at
replacement values to include new construction and make statement
available to the administration by August 31 of each year.
3. Prepare specifications for entire insurance program and present to
Administration for approval. When specifications are approved, the
Agent of Record will secure competitive proposals from insurance
carriers for all coverages for which the Agent of Record is given
responsibility. Award contracts in compliance with City of
Woodburn purchasing rules.
4. Be available to the Administration for advice and consultation on
insurance matters, and to assist the administration in its risk
management and safety programs.
5. Maintain an adequate claims record to show number and type of
claims, dollar amount of paid claims, and total dollar amount of
reserves on open claims by policy type. These records should be
available to the City upon request and the annual totals should be
included in the annual report to the city. Review all loss control
recommendations made by governmental agencies or insurance
carriers, work with City to facilitate compliance, and, when
appropriate, suggest alternative means of compliance.
6. Notify the City of all expirations of insurance contracts at least
60 days prior to the expiration date, and assist the City in the
processing of claims.
7. For annual budgeting purpose, supply the City with estimated
premiums that will be required for the next fiscal year. This
would require a study to project new total property values
including any completed construction or contemplated acquisitions.
This is due during the month of December of each year.
8. Prepare an annual report for delivery to Administration. This
report includes any pertinent information relative to new or
changed coverages, companies, amounts or premium, term of policies
and deductibles. New rulings by the Insurance Service Office or
the Insurance Commissioners may also be included.
9. Comply with all applicable Equal Employment Opportunity laws and
regulations and not discriminate with regard to race, color, creed,
sex or national origin.
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